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One degree on a great circle of earth equals to $60$ Nautical Miles. Hence:

$\ 360 \times 60 = 21,600$ M (Nautical Mile)

$\ 21,600M \times 1852$ Meters $= 40,003,200$ Meters $= 40,003.2$ Kilometers

While the radius of earth is $6400$ Kilometers. What is problem with my calculation?

UPDATE: The question is wrong in nature. I confused the radius of earth with circumference of the earth!

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    $\begingroup$ You have found the circumference of the Earth! Dividing by $2\pi$ does give you something in the ballpark of 6400 km. $\endgroup$
    – Zen
    Jun 19, 2013 at 2:44
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    $\begingroup$ Stupid me! I confused radius of earth with circumference of earth. Thank you @Zen $\endgroup$
    – bman
    Jun 19, 2013 at 2:45

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You need to divide by $2\pi$ to get the radius. You have calculated the circumference.

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